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Thanks.
1) I agree!
2) On th...Hey Anonymous,<br /><br />Thanks. <br /><br />1) I agree! <br /><br />2) On this point I wasn't clear: by a decline of "standards of living worldwide" I meant the break up of the middle classes in the advanced consumer economies, which have represented the highest standard of living for the most people since the mid-20th century -- a direct consequence of the constraints (political, technological, etc.) placed on capital at the time. <br /><br />Freed of such constraints, people will naturally give more to production while getting back less, in every sense, in return. <br /><br />I would point to financial contagion and the destruction in the Gulf, etc., just as readily as I would point to wages and what our money is really buying us when it comes in the form of cheap, disposable commodities on a mass scale.JRBhttp://ladypoverty.blogspot.comnoreply@blogger.comtag:blogger.com,1999:blog-5461044.post-68549845011401026902010-07-13T18:54:30.326-05:002010-07-13T18:54:30.326-05:00interesting posts- two comments for thought.
1) ...interesting posts- two comments for thought. <br /><br />1) while the decoupling factor between real wages and productivity is for real, one cannot measure the gap accurately (particularly for "good jobs") using real wages but must use "total compensation." This is because "good jobs" often times came with benefits such as health insurance and pensions that "back ended" the productivity increase; that is, the growth in benefits coupled with wages were somewhat closer to the proscribed increase suggested by productivity. <br /><br />2) I think your definition of "standard of living" is somewhat misleading. when you say "drive down the standards of living " you are likely referring to wages as a proxy of standard of living rather than what those wages will buy. indeed, "standard of living" not only includes wages but the goods and services those wages purchase. while the (ongoing) financial crisis may have dented previous "standards", there is no doubt, that the standard of living has and will continue to increase.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5461044.post-87736852923881785652010-07-10T09:42:30.988-05:002010-07-10T09:42:30.988-05:00Picador,
Yes: "Decoupling" is the whol...Picador, <br /><br />Yes: "Decoupling" is the whole issue -- and its relationship to "improved technologies and management techniques" would ultimately prove to be the opposite of what Florida claims.JRBhttp://ladypoverty.blogspot.comnoreply@blogger.comtag:blogger.com,1999:blog-5461044.post-60119578990903936152010-07-09T11:08:49.702-05:002010-07-09T11:08:49.702-05:00Florida is right that, in the 40s through the 60s,...Florida is right that, in the 40s through the 60s, rising productivity resulted in higher wages for the middle class. However, starting in the 1970s, the two trends were decoupled, resulting in our current situation whereby the median wage is the same as it was in 1973 despite a 50% or greater increase in worker productivity. The fact that he hasn't looked at the numbers and still seems to think that the pre-1970 trend still holds is a pretty stark indictment of his seriousness.Picadorhttps://www.blogger.com/profile/01244353406711565712noreply@blogger.com